PENSIONS RECIPROCITY

Wairarapa Times-Age, 24 May 1943, Page 3

PENSIONS RECIPROCITY

AUSTRALIA'& NEW ZEALAND REACH AGREEMENT.

SUBJECT TO PARLIAMENTARY RATIFICATION.

(By Telegraph—Press Association—Copyright) CANBERRA, May 21.

Reciprocity of old age and invalid pensions between Australia and New Zealand has been approved by the Federal Cabinet. The necessary legislation is expected to be introduced during the next session of Parliament. The agreement, which formed the subject of discussions at various times during the past 29 years, will not operate till it is passed by the New Zealand and Commonwealth Parliaments, and is terminable by either Government under six months’ notice.

The principal features of the agreement are: First, both countries may accept residence or permanent incapacity in either country as if they took place in the country in which the applicant is actually lodged; second, the maximum grant must not exceed that payable in the country providing the lower maximum rate; third, no financial adjustments will be necessary, since each country will bear the expense. The Minister of Health, Mr Holloway, said he welcomed the proposal as evidence of even closer association and understanding between the peoples of New Zealand and Australia, processes which had been accelerated and strengthened by the war conditions and the appointment of official representatives.

The Federal Cabinet has also agreed to the details of the Australian unemployment and sickness benefit scheme, which is estimated to cost up to £lO,000,000 a year. The draft Bill provides a total benefit of £2 10s for a man, wife and one child.